Skilled Immigrants: A Case Study
since these figures are taken from companies where at least one immigrant had a key role, the contribution of immigrants themselves should be less than calculated above. Still, the studies suggested that immigrants play a significant role in the creation of new businesses that drive innovation and job creation.
Given the specific contributions of immigrants on starting companies with high growth potential, our analysis can be extended further to the broader landscape. Fairlie (2008) examined the overall contribution of immigrant businesses to the US economy. He found that immigrants were nearly 30 percent more likely to start a business than are nonimmigrants. Therefore, immigrants played a large role in creating businesses in the US. Adjustments …show more content…
It is shown that there is little displacement or crowding out of natives, and that specialization and use of comparative advantage makes up for the effect of crowding out. Hunt and Gauthier-Loiselle (2010) showed that skilled immigrants have positive spillovers on innovation through the form of higher patenting. Similarly, Kerr and Lincoln (2010) found a positive relationship between the rates of patenting and increased skilled immigration. Borjas (2007) showed that native graduate students are not crowded out of pursuing higher level education. Peri and Sparber (2011) showed that skilled natives make use of comparative advantage and move into occupations requiring more communicative and interactive skills. Furthermore, the performance of skilled immigrants makes up for potential crowding out effects through job creation. Studies showed that immigrants play a significant role in the creation of new businesses that drive innovation and job creation. Wadhwa, Saxenian et al. (2007) found that 25 percent of engineering and technology companies with more than one million dollar in sales in 2006 had at least one immigrant key founder. Anderson, and Platzer (2013) found that 33 percent of venture-funded companies in a wide variety of sectors that went public between 2006 and 2012 had an immigrant founder. Moreover,
Given the specific contributions of immigrants on starting companies with high growth potential, our analysis can be extended further to the broader landscape. Fairlie (2008) examined the overall contribution of immigrant businesses to the US economy. He found that immigrants were nearly 30 percent more likely to start a business than are nonimmigrants. Therefore, immigrants played a large role in creating businesses in the US. Adjustments …show more content…
It is shown that there is little displacement or crowding out of natives, and that specialization and use of comparative advantage makes up for the effect of crowding out. Hunt and Gauthier-Loiselle (2010) showed that skilled immigrants have positive spillovers on innovation through the form of higher patenting. Similarly, Kerr and Lincoln (2010) found a positive relationship between the rates of patenting and increased skilled immigration. Borjas (2007) showed that native graduate students are not crowded out of pursuing higher level education. Peri and Sparber (2011) showed that skilled natives make use of comparative advantage and move into occupations requiring more communicative and interactive skills. Furthermore, the performance of skilled immigrants makes up for potential crowding out effects through job creation. Studies showed that immigrants play a significant role in the creation of new businesses that drive innovation and job creation. Wadhwa, Saxenian et al. (2007) found that 25 percent of engineering and technology companies with more than one million dollar in sales in 2006 had at least one immigrant key founder. Anderson, and Platzer (2013) found that 33 percent of venture-funded companies in a wide variety of sectors that went public between 2006 and 2012 had an immigrant founder. Moreover,